Swiss-based VC firm Privilège Ventures has just launched a fund dedicated exclusively to scouting and investing in women-led early-stage startups across Europe. Fund IV, sitting at about €20 million is the first of its kind in Switzerland.
The startup entrepreneurial ecosystem is one that inherently is open to new ideas, perspectives and exploring fresh approaches. It’s one that operates on an ethos of openness and collaboration – pursuing innovation and synergy for all for generations to come. However, across Europe, women have been facing discrimination on the basis of their gender.
It’s something that has happened for generations. Women are left behind in terms of funding and are left excluded from those crucial networks that can make a difference when launching a startup. We took an overview of the situation recently.
But, things are changing. More women are being recognised and celebrated as founders of some of Europe’s most successful companies, more women are being given the funds they need, and more women are visible across the full spectrum of Europe’s startup ecosystem. Just this summer, for example, Unconventional Ventures launched a €30 million fund to invest in diverse teams (those led by founders identifying as women, POC, immigrants and/or LGTBQ+) and startup Code First Girls picked up €5.2 million to empower women with more opportunities in tech.
There are more and more female investors, more and more female-led businesses and more and more teams are clearly considering intersectionality.
Women-led teams have a tangible cutting edge, generally promoting more diversity as a whole and achieving more financial success. For example, according to research as cited by Privilège Ventures, for every $1 of investment raised, startups run and co-run by women generated roughly twice the revenues on investments compared to male-led companies.
Based on this insight, and the fact that supporting women-led ventures is critical to creating more inclusive and equitable futures, Privilège Ventures has launched a new fund – Fund IV.
“Doing the right thing ethically and financially isn’t mutually exclusive. Female-led focused funds are a major untapped opportunity for venture funds and their investors. And they are also simply the right thing to support”.
Venture Partner Lea von Bidder
Fund IV: The details
This freshly launched €20 million fund will invest in female founders at the early stage.
The venture capital firm, authorized by the Swiss Financial Market Supervisory Authority (FINMA), was founded on values that derive from previous experience as founders’ entrepreneurs, operators and investors. As Privilège Ventures does portfolio-wide, Fund IV will provide women with unceasing support, expertise and valuable network access on their journey to innovate and build successful companies.
in addition to Wagner and Ruedin Rüsch, Fund IV will be overseen by seasoned founder and Venture Partner Lea von Bidder (femtech health company Ava Women AG, L’inouï). Cecilia Orlando, with previous experience with HNWI at UBS and Credit Suisse will head investor relations. The fund will seek 15-20 seed and early-stage female-led companies across Europe, with an initial ticket size of about €250k.
Jacqueline Ruedin Rüsch: “We don’t just want to support women. The data shows women in the driver’s seat produce better ROI.”
Backing women for better business
The new fund is built upon the knowledge and statistical evidence that women-led teams and ventures are successful. They have everything it takes and more to become the leaders, innovators and pioneers shaping the future, but they currently lack the money to get kickstarted.
Lucian Wagner, Privilège Ventures Founding General Partner: “Our investment thesis builds upon strong statistical evidence that companies led by women are stronger performers. The numbers are staggering. It’s not just about being ethical and doing good: global GDP would grow 6% if rates of entrepreneurship were equal between men and women.”
The analysis was conducted by Boston Consulting Group on investment and revenue data over a five-year period. The study also showed that startups founded and co-founded by women received less than half the average investments made into companies led by men, even though the female-led startups generated 10% more revenues over time.
Privilège Ventures’ existing portfolio already features stand-out female innovators and talent including von Bidder’s Ava Women AG, which recently exited to U.S.-based FemTec Health; AgroSustain SA, pioneers in all-natural crop protection coatings; and IDUN Technologies AG, the neural interface unlocking secrets to better sleep and direct brain-machine interaction.
This new fund is pretty unique and marks a step in the right direction towards making a more diverse startup ecosystem and innovation outlook for Europe.
Jacqueline Ruedin Rüsch, Privilège Ventures Founding General Partner: “There are very few funds worldwide dedicated to backing female founders. And despite the rapid growth in the VC industry, the percentage of female or gender-diverse-led teams is falling. Combining the Privilège team’s extensive experience, the numbers supporting investing in women, and the tremendous energy in Europe driving young entrepreneurs, Fund IV taps into an opportunity that few VC’s have seemed to recognize.”
via https://www.AiUpNow.com
November 3, 2022 at 10:41AM by contact@bcurdy.com (Patricia Allen), Khareem Sudlow
